and the true average spot price
as provided by the regulation, the
The ICIS Japan front-month spot price
was assessed on Wednesday at its lowest level since June 2010, at $6.
At the end of March, Asian spot prices
were running around $15.
Figure 16 demonstrates that the market expects the UK NBP spot price
to remain relatively low, reflecting poor demand on the back of the eurozone crisis.
Yes, that means we may look like we're paying more today than spot prices
, but EWEB is well positioned to avoid a price roller-coaster when spot prices
turn around - and they will.
were predicts that June spot prices
could be around $22/ton cheaper than its forecast for contract prices in July-September.
For example, if prices are rapidly mean reverting, the current spot price
has only a small impact on the distribution of future spot prices
, and it therefore has little impact on the value of the empty lake; if spot prices
revert to their long-run level more slowly, the value of the empty lake will be more responsive to changes in the spot price
One bit of evidence is the preponderance of backwardation: The oil market shows backwardation, with spot prices
exceeding futures prices, 70 percent of the time.
There has been a rapid increase in spot prices
, so much that the retail price hasn't caught up,'' said Doug McIntyre, senior oil market analyst for the EIA.
Futures prices are statistically correlated with the spot prices
that they presumably predict, but none of these correlations is substantially higher than the correlation between current and future spot prices
Yet, spot prices
for palladium were at $181 early in April, dropping from $187 in late March.
The Energy Information Administration (EIA) has previously studied the relationships between wholesale and retail markets for gasoline, and found that changes in spot prices
can be used to forecast subsequent changes in retail prices.